Investment trust income champions, when lower yield is better, high growth at low valuations and following fintech

Investment trusts have long been popular with investors seeking a reliable income, and new figures from the Association of Investment Companies (AIC) confirm just how reliable they have been, with three trusts now having raised their dividends for 50 consecutive years. Deputy personal finance editor Kate Beioley finds out which these were, as well as highlighting other notable entries in the AIC's Dividend Heroes list. She also explains what makes investment trusts such reliable dividend payers and where good dividends are likely to be found going forward.


The Investment Association, meanwhile, has lowered the yield target open-ended funds need to meet to be included in its UK Equity Income sector. Kate Beioley looks at what the new requirement is and why having a high yield target does not necessarily benefit investors.

Global Equity Income stalwart Murray International Trust (MYI) is back on form after three years of not such good returns, but this is not all due to stock or sector selection. We look at what influences have been driving the trust's returns, the stock picks and areas that have contributed to performance, and what Murray International's manager is not so impressed with.

This week's tip, meanwhile, highlights a fund you may want to turn to if it's high growth you're after. This fund invests in an area that looks set to receive a boost and seems attractively valued, and it has outperformed similar funds over the past year following the appointment of a new but experienced manager.

An even racier growth option is IC Top 100 Fund Fidelity China Special Situations (FCSS), but it has rewarded investors well for taking on extra risk with strong outperformance of its index, reports personal finance writer Emma Agyemang. She explains where the trust's manager is finding the investments that are driving this performance and what he thinks will deliver going forward - as well as what he's not so keen on.

A growth area that seems to be in a slightly precarious situation is healthcare stocks due to concerns on President Trump's plans to dismantle the US healthcare system. But Sven Borho, manager of IC Top 100 Fund Worldwide Healthcare Trust (WWH), tells Kate Beioley that it is quite the opposite - he argues that just now healthcare stocks could offer potentially strong returns at low valuations. He also says which companies he thinks will reward investors, and highlights an area that looks set to do well and seems to be beyond the reach of Trump.

Asset manager Source has launched the first European-listed exchange traded fund (ETF) that tracks fintech companies. Kate Beioley looks at the companies this ETF will track and how it is constructed, as well as some potential problems investors might face when trying to evaluate this area.

In our latest podcast the personal finance team and Chris Dillow, Investors Chronicle's economist, look at how some tax changes announced in last week's budget will affect investors, and what they can do to mitigate these. Kate Beioley also sets out some tips on picking a good equity income fund, and Emma Agyemang weighs up the merits of holding shares in your employer.

Our podcast is now available across five different distribution channels to allow you to access it in the most convenient way. Find us on Soundcloud, Acast, Audioboom, Stitcher and iTunes.

This week's Portfolio Clinic features a couple who want to supplement their retirement income but maybe holding too much cash to achieve their desired income. Our experts also explain how they could draw a retirement income from their assets in a more tax efficient way.

Do you have a personal finance problem? Or want to know more about something in this week's personal finance pages? If so let us know by getting in touch with leonora.walters@ft.com, kate.beioley@ft.com or emma.agyemang@ft.com.

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